Wales Office minister Lord Bourne said the powers would be added to the Wales Bill, which has already set out plans to give the principality a funding guarantee and a devolved portion of income tax.
The amendments tabled by Lord Bourne will be debated by the House of Lords on Monday 7 November.
Wales secretary Alun Cairns said the powers to set teacher pay and conditions were the first of a series of changes to be made following discussions with Welsh first minister Carwyn Jones and others.
“Education is a devolved matter and it makes sense for the assembly and Welsh ministers to decide the pay and conditions of teachers in Wales. Devolving teachers’ pay is a key priority for the Welsh Government,” Cairns said.
“I want a clear and lasting devolution settlement that works for Wales and for the UK as a whole. I am happy to consider devolving further powers to the assembly and the Welsh Government where there’s a clear purpose for doing so.”